Updated: August 05, 2020 04:33 PM
Created: August 05, 2020 10:16 AM
ALBUQUERQUE, N.M. — Small businesses in New Mexico can now apply for the state's recovery loan fund.
Gov. Michelle Lujan Grisham signed the Small Business Recovery Act of 2020 last month, allocating nearly half a billion dollars for loans.
The funds, taken from the New Mexico State Severance Tax Fund, will go to small businesses and nonprofits who have experienced financial hardship due to the state's public health order.
“This is a cornerstone of our state’s response to the economic crisis unleashed by the COVID-19 pandemic,” Gov. Lujan Grisham said. “Businesses across our state have suffered as a direct result of the public health emergency – customers are concerned about safety, employees are worried about their well-being and our economy has been battered. The state’s wealth can be put to no better purpose right now than the assistance of so many dedicated business-owners, whose lives and livelihoods have been upended, who have done everything they can to keep customers and workers and our communities safe. I will continue to deliver everything in my power to New Mexicans who continue to fight this virus and work to stay afloat.”
Officials say those who are eligible for loans may borrow two times their average monthly expenses up to a maximum of $75,000.
The measure sets the interest rate at one-half the prime rate on the day the loan is made. The initial loan period is three years.
The New Mexico Finance Authority will administer the program. For the online application, click here.
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